Justify the following statement: Certificate of Incorporation is like a Birth Certificate of a company.
Justify the following statement:
Certificate of Incorporation is like a Birth Certificate of a company.
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- Certificate of Incorporation is issued by ‘Registrar of Companies, after successful completion of the Incorporation step of formation.
- It is proof by which company comes into existence.
- An incorporation Certificate brings legal status to the company.
- After getting the Incorporation Certificate company achieves the status of ‘Perpetual Succession’.
- The company can sue and can be sued after getting an Incorporation Certificate.
- The company can enter into various contracts.
- After getting an Incorporation Certificate, the company is considered an artificial person.
- Thus, a Certificate of incorporation is like a Birth Certificate of a company.
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